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Microsoft 2011 Citizenship Report

"Microsoft is committed to principled, accountable, and transparent business practices that meet our responsibilities as a global company." - Brad Smith, General Counsel and Executive Vice President, Legal and Corporate Affairs

Reporting Year

Unless otherwise stated, information in this report is related to fiscal year 2011 (July 2010 to June 2011).

Scope

As part of Microsoft’s global Citizenship initiative, this report covers Microsoft nonfinancial performance and impact in FY2011 across our global operations.

The report covers our material Citizenship issues based on internal assessments, ongoing engagement with stakeholders ranging from socially responsible investors to our own employees, and requests for information by corporate responsibility rating agencies. In particular, this year we conducted a gap analysis between the information provided in our FY2010 Citizenship Report and the information requests that we received from stakeholders during FY2011 to enhance the information provided.

We also relied on the Global Reporting Initiative’s Sustainability Reporting Guidelines to help determine relevant content and metrics for this report. An index of our performance on GRI indicators can be found in the GRI Index section of this report.

As we committed to in our FY2010 Citizenship Report and based on feedback from our various stakeholders, we solicited external perspectives as part of this year’s reporting process. In this year’s report, seven external experts contributed their comments on the issues that affect Microsoft’s business through “Viewpoint” columns in select sections. These experts did not participate in the writing or reviewing of the report itself.

Links are provided throughout the report for more detailed information.

Additional Reporting

This report was released at the same time that the Microsoft FY2011 Annual Financial Report was released. These reports complement each other and together provide a full picture of Microsoft over the past year.

Although these two reports are one of the most important ways that we report to our stakeholders, there are many other ways in which we report on our actions throughout the year. These include:

In addition, you can find our annual Communication of Progress to the UN Global Compact, the UN Millennium Development Goals, and our OneReport data in the GRI Index section of this report.

Feedback

We welcome your feedback on this report and on the Microsoft Citizenship approach. Please email your comments to mcitizen@microsoft.com or write to us at the following address:

Microsoft Corporate Citizenship
Microsoft Corporation
One Microsoft Way
Redmond, WA 98052, USA

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